Beautiful history on decentralized finance in America. DeFi and cryptocurrency are powerful forces in the world of data and tech we live in now. Excited to Make Crypto Normal together!
That's a great problem to consider. First, I think some services in the ecosystem will be fractional but will have to strictly operate with regulations governed by decentralized autonomous systems similar to Visa's original governance like mentioned in the article. Second, we may consider overcollateralization as inefficient use of capital. However, I see rapid productive capital creation on the horizon with the introduction of AI driven automation; eg AI advancements in neural networks and simulation generation of training data will allow for humanoid robots to be implemented as productive capital in the near future. This rapid productive capital creation will reduce the need for debt-based money creation through leverage. I believe DeFi will be preeminent in efficiently allocating this new capital that will very likely become the largest industry in the world. I'll expand on these ideas in my next article.
Beautiful history on decentralized finance in America. DeFi and cryptocurrency are powerful forces in the world of data and tech we live in now. Excited to Make Crypto Normal together!
Under a non-fractional financial system (DeFi) do you think we will see similar levels of free banking? Or will the lack of leverage limit the system?
That's a great problem to consider. First, I think some services in the ecosystem will be fractional but will have to strictly operate with regulations governed by decentralized autonomous systems similar to Visa's original governance like mentioned in the article. Second, we may consider overcollateralization as inefficient use of capital. However, I see rapid productive capital creation on the horizon with the introduction of AI driven automation; eg AI advancements in neural networks and simulation generation of training data will allow for humanoid robots to be implemented as productive capital in the near future. This rapid productive capital creation will reduce the need for debt-based money creation through leverage. I believe DeFi will be preeminent in efficiently allocating this new capital that will very likely become the largest industry in the world. I'll expand on these ideas in my next article.
Interesting!
Thanks for sharing! I never considered this. Very interesting
I totally agree, the history of money has to be my number one favorite topic!